While SpainÃ¢â¬â¢s economy continues to suffer under the weight of huge banking losses, the countryÃ¢â¬â¢s property market continues to offer huge property bargains to canny investors. Estate agents believe that prices in parts of the country have fallen by up to 50 per cent from their peak, with banks desperate to offload property assets.
However, if youÃ¢â¬â¢re thinking of grabbing a Spanish property bargain, itÃ¢â¬â¢s vital that you donÃ¢â¬â¢t cut corners or fail to do your research. If you donÃ¢â¬â¢t heed our expertÃ¢â¬â¢s advice below, you could end up out of pocket.
Experts warn Spanish bargain hunters to beware
The Guardian reports that Ã¢â¬Ëthere are reports of bargain hunters flocking to Spain to buy at knockdown prices, lured by scores of websites promising ultra-cheap properties and loansÃ¢â¬â¢. Spain built 760,000 new homes in 2009 Ã¢â¬â five times as many as the UK. Many of these are now empty thanks to developers going bust and a slump in demand due to SpainÃ¢â¬â¢s high levels of unemployment.
While there are plenty of property bargains to be found in the country, experts are warning that buyers should still tread carefully when buying homes in Spain.
Claire Nessling, an overseas property expert, told the Guardian: Ã¢â¬ÅBe very selective. Many so-called bargains are being offered at bargain basement prices because they are of poor quality and in undesirable locations.
While Spanish banks are keen to offload property at knockdown prices, itÃ¢â¬â¢s vital that you do your homework. You could end up purchasing a flat in a so-called Ã¢â¬Ëghost townÃ¢â¬â¢ where there are hundreds of flats but precious few residents.
In addition, itÃ¢â¬â¢s vital that you take property legal advice when you buy property in Spain. If you donÃ¢â¬â¢t, you could end up facing taxes and charges you donÃ¢â¬â¢t expect. In addition, failing to get the right advice could leave you with problems in the future if the correct planning consent wasnÃ¢â¬â¢t obtained or if there are issues over title and ownership.
by Nick Marr